Nearly two months after the Rs 2000 crore hack of the WazirX crypto exchange, co-founder Nischal Shetty has proposed a restructuring plan for Indian users.
WazirX Restructuring Plan
According to the latest supplementary affidavit filed by the parent entity Zettai Pte Ltd in the Singapore High Court, exchange users need to support the moratorium application filed by Shetty. This application protects Zettai and WazirX from any legal action for six months to come up with a restructuring plan.
User Support and Moratorium
Shetty states that so far, 441 users out of 4.4 million active WazirX users, representing 0.01%, have shown support. WazirX is currently in a legal dispute with Binance over the management of user crypto assets.
Next Steps
The restructuring process starts with Zettai filing a moratorium application, which was filed on August 27, 2024. After court approval, creditors will meet to vote on whether to approve the scheme. The scheme requires approval by more than 50% of creditors and 75% or more of the total debt value of each class of creditors.
This affidavit offers two choices for fund recovery: happily support the restructuring process, or embark on a long journey of watching the legal dispute with Binance get settled.
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